KeyCorp said it will be installing automated teller machines in 850 Atlantic Richfield Co. convenience stores in five western states.
With the ATMs at Arco am/pm markets, KeyBank will be entering three new states-California, Nevada, and Arizona-and adding to its branch presence in Oregon and Washington.
Jack J. Kucler, senior vice president at the bank, said, "We have an opportunity to market the Key brand in new areas" at far less cost than by building conventional branches.
The bank has yet to select between vendors NCR Corp. and Diebold Inc. to supply the units, which are to be in place by April.
The agreement will increase KeyBank's ATM total by about 40%, to 2,900. The bank will rent the retail space and share surcharge revenue with Arco.